If energy costs are hurting your bank account, consider switching to solar power. How? Install solar panels in your home. There are many advantages to solar panels — but before you take the next step, you likely want to know if they will really work and serve your needs. (Fyi, they will!) Here, PowerTech — which has solar panels at its Council Bluffs headquarters and a campus that is a 100% energy independent — answers a few questions about solar power customers often ask before making the switch.
Common Questions About Solar Panels
1. Are Solar Panels Worth The Cost For My Home?
If you are tired of paying high energy bills and you live in an area with a suitable solar rating, moving to solar panels may be a smart move. There is an initial investment to consider, but with tax credit and rebates that are in place — not to mention how much you’ll save on long-term utility expenses — they are worth the upfront cost.
There is currently a 26% federal tax break, which has been extended through 2022. It will then drop to 23% in 2023 and expire at the end of that year. That means that you can buy solar panels and have them installed and in turn, get a considerable tax deduction.
Iowa offers additional cost saving incentives for those who get solar panels. When you install a solar panel system in your home in Iowa, you get 15% of the cost of the solar panel system off your state income tax up to a maximum $5,000 credit. Links for info?
In Nebraska, there is a local tax credit for solar power. It is a minimal deduction though, at only .00005 per kWh. That means if your home’s solar PV system produces 7,000 kWh annually, you will get a $3.50 state deduction. However, you still get to take advantage of the federal tax deductions for opting for solar power.
Bottom line? There are plenty of tax benefits offered for using solar energy to power your home. Look into state and federal incentives, talk to your accountant and get an estimate from the pros at PowerTech.
2. How Do Solar Panels Work?
When sunlight hits a solar panel, an electric field is created. The generated electricity then flows to the panel’s edge, then makes its way into a conductive wire. The wire then brings the electricity to the inverter where it gets transformed from DC electricity to AC power, which then can power buildings.
The average cost of a solar panel system is about $13,000. Besides the tax credits you will receive, your utility bills will decrease, and your property values will increase. When compared to electric or gas heating systems, you will save much more in the long run by using solar panels. After about three years, your solar system will pay for itself.
A solar panel inverter will convert the direct current generated by your home’s solar panels into alternating current, so your home is powered. When each solar panel is installed, an inverter will also be installed. Solar panels can work in conjunction with your grid connection by reducing your meter readings.
When your home is connected to the grid, you are using an energy meter for measuring electrical use. Solar panels could significantly reduce your grid connection dependence by using any earned meter credits to reduce the utility bill. So, yes, solar panels do work!
3. How Do I Get Started?
If you are ready to take the next step and get a solar panel system for your home, call PowerTech. PowerTech’s energy experts will help you determine the best way to proceed with your solar project and answer any other questions you have.
PowerTech has the power to provide all of your residential electrician and commercial electrical needs, whether it’s a home remodel or repair, an electrical issue at your business, a generator service or purchase, or emergency electrical help. Let us show you why we are the top choice for service in Council Bluffs, Omaha, and beyond.
Ready to get started? Give us a call at 712.256.8702. You also can fill out our contact form and a representative will contact you as soon as possible.